People familiar with the matter have told AppleInsider that Apple will likely forego a high-megapixel camera in its 2014 iPhone offerings, in favor of tweaking other image-enhancing components. In other words, megapixels are less of a priority for Apple than overall image quality.

That is the right way doing it, the megapixel race is just silly. Mobile phone cameras doesn't need more megapixels, they need better sensors and other technologies to make them better in low light environments for example. It will be very exciting to see what Apple has up it's sleeves when it comes to the iPhone camera.